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CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
The Millennium Development Goals (MDGs) are a set of development targets
aimed at effecting measurable improvements in the life of the world’s poorest citizens
they are basically eight () goals namely!
Goal"1! #radicate e$treme poverty and hunger
Goal"%! &chieve universal primary education
Goal"'! romote gender euality and empower women
Goal"*! +educe child mortality
Goal",! -mprove maternal health
Goal".! /ombat 0-2&-D34 malaria and other dieses
Goal"5! #nsure environmental sustainability
Goal"! Develop a global partnership for development
These came about as a result of the 6nited 7ations Millennium Declaration
adopted at the Millennium 3ummit held . th to th 3eptember %888 in 7ew 9or:4
7igeria has been committed to the realization the Millennium Development Goals by
the year %81,; -n line with 7igeria’s commitment to the MDGs4 the
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ongoing reforms on the poorer segments of our society4 the
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further compounded by the burden of reconstruction after the civil war4 the
government and people of 7igeria set for the country4 fresh goals4 and ob=ectives
aimed at establishing 7igeria as!
(a) a united4 strong and self reliant nation
(b)a great and dynamic economy
(c) a land of bright and full opportunities for all citizens and
(d) a free and democratic society;
-t is a culture in 7igeria that once a student graduates from the 6niversity or a
polytechnic4 with a degree or 7ational 0igher Diploma4 (07D)4 he or she is sent to a
state in 7igeria to serve the 7ation;
'Youths obey the clarion call, let us lift our nation high, under the sun and in the
rain, with dedication and selflessness, Nigeria ours, Nigeria, we Serve.'
The above is the National Anthem of every youth corps member in 7igeria;
&nd for '8 years4 it has sounded sure and true; The 793/ 3cheme has ' stages4 the '
wee:s of orientation camping4 the /ommunity Development 3ervices (done once a
wee:)4 and The lace of rimary &ssignments4 (where each corps member is posted to
after the orientation camp and where he is to serve for one year); 793/ has not been
without its ups and downs4 with tales of :illings and abductions of /orp Members
every where4 every state; >ut good things are always met with resistance; &s a 9outh
/orp Member myself4 - believe in the 793/4 and - believe in its vision; -t is the single
unifying factor in 7igeria that has survived so long;
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E#ntrepreneurshipF is defined as the capacity and wiliness to develop4 organize
and manage a business venture along with any of its ris: in other to ma:e profit; The
most obvious e$ample of entrepreneurship is the starting of a new business
-n economics4 entrepreneurship combined with land4 labor4 natural resources capital
can produce profit; #ntrepreneurial spirit is characterized by innovation and ris:
ta:ing4 and is an essential part of a nation’s ability to succeed in an ever changing and
increasingly competitive mar:et place; Going bac: to the MDGs goals 1 E#radicate
e$treme poverty and hungerF the 793/ scheme set up an economic empowerment
program in the name of EAar &gainst overtyF (A&) whose primary ob=ective is to
train and empower youth corps members in their year of service to the nation in
various entrepreneurial s:ills in areas li:e farming4 fishery4 rabbitery e;t;c
The primary criteria was to implement pro=ects and programs that were Euic:"winsF4
having relatively short gestation periods but with potential for immediate impact on
the social well being of communities across the country;
1.2 STATEMENT OF THE PROBEMS
& millennium summit of 1B world leaders in 3eptember of the year %888
pledged to meet all of the eight goals of the MDGs by %81, ;This united nation
summit came on board as a result of the need to improve social4 economic and
political standard of the worlds populace; Despite its long period of e$istence4 the
goals are yet to be fully attained; This pro=ect loo:s into the problems and challenges
of delivering the MDGs goals 1 in relation to poverty reduction and eradication;
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1.! OB"ECT#$ES OF THE STUDY
-n the light of the attainment of poverty reduction through entrepreneurial
s:ills acuisition and funding through the MDGs office to the 793/ corps members4
this pro=ect hopes to loo: at the A& scheme of the 793/ for the new corps members
fresh from the school into the labor mar:et; The ob=ectives of this study include and
not limited to the following!
1. To e$amine the economic empowerment of the youth (young graduates)
through the 793/’s Aar against overty (A&) program;2. To create the awareness and increase sensitization of the corps members on
wealth creation outside the conventional salaries =ob;
3. To e$amine the impact of entrepreneurship on economic development of young graduates
4. To better understand how the Aar &gainst overty program contributes to the
attainment of MDGs Goal 1;5. To :now some of the challenges faced by entrepreneurs in attaining self
sustenance;6. To ma observations4 suggestions and recommendations based on the findings;
1.% RESEARCH HYPOTHES#S
The term hypothesis can be referred to as assertion sub=ect to verification4 or as an
assumption used as a basis for action4 this research assumes the following statistical
statements
0 there is no significant relationship between the MDGs &7D entrepreneurship
development in 7igeria
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01 there is significant relationship between the MDGs &7D entrepreneurship
development in 7igeria
1.& METHODOOGY OF THE STUDY
This research will employ the use of ualitative and uantitative statistical analysis;
Time series observation using graphs which shows the trend movement of data will be
used for descriptive analysis; The inferential statistical tools will be econometric
method of analysis where an econometric multiple regression model will be adopted
to determine the impact of MDGs documents on entrepreneurship development in
7igeria;
Aith the appropriate model4 the following test will be conducted to test the statistical
reliability and significance of the estimated parameters; These include standard error4 t
" statistic4 f " statistic4 coefficient of determination + % and coefficient correlation;
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The research will covered a period of 18years from %888 to %811 considering the
emergence of democratic government in 7igeria in the past 1, years4 a lot of emphasis
on poverty alleviation as been on the front burner of the domestic government and the
international organization4 especially through the development of entrepreneurial
activities; 0owever4 references can be made to data before the year %888 as they are
important to the study;
This wor: limits itself on the evaluation of the impact MDGs documents on
entrepreneurship development in 7igeria;; 0owever4 there are other relevant economic
variables that can impact on entrepreneurial activities in the country rather than MDGs
alone; ther ma=or limitations to this wor: includes insufficient and unavailability of
current data (%81')4 inadeuate time and resource constraint;
1.) RESEARCH OUT#NE
This research is structured into five (,) chapters; The first chapter introduced the
study4 it includes the bac:ground of the study4 statement of the problem4 ob=ectives of
the study4 significance of the study4 research methodology4 hypothesis of the study4
sources of data4 scope and limitation of the study and research outline;
The second chapter is where all available related literature on the sub=ect matter will
be reviewed; -t contains conceptual framewor:s of the sub=ect matter4 MDGs
documents and entrepreneurship4 theoretical framewor: and the importance of
entrepreneur in an economy;
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/hapter three establishes the lin:age between MDGs and entrepreneurship
development in 7igeria4 the challenges and way foreword;
-n chapter four4 data presentation4 analysis and discussion of research findings will be
carried out;
/hapter five contains the summary of findings with their implications4 conclusion and
recommendation of the study;
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B
CHAPTER T*O
#TERATURE RE$#E*
2.1 RE$#E* OF REATED #TERATURE
3cholars have documented enormous evidence which points to the fact that
e$treme poverty is predominant in rural areas4The -nternational fund for agricultural
development (-
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produce less progress in poverty reduction (&igbo:han4 %888); This has therefore4 led
to a shift in emphasis from the pace of growth to the structure of growth strategy;
2.2 CONCEPTUA FRAME*ORK
The basic needs approach has as its main ob=ective the need to satisfy the
essential reuirements for minimum standard of living; The approach is concerned
with improving first4 income earning opportunities for the poor4 second4 the flow of
goods and services to meet the needs of all members of households4 and thirdly4 the
participation of the poor in ways in which their needs are met (Iadgerwood4 %888);
The targeting approach reuires the directing of poverty alleviation
programmes to specific groups within the country; /omponents of the approach
include micro"credit4 school meal4 medical care4 safety nets4 and public wor:s
programmes; The approach reuires proper identification of the target group for
effective targeting; The employment Joriented target emphasizes employment
promotion as the principal means of spreading the benefits of economic development
more evenly throughout the economy; The pace growth ob=ective was modified so as
to ma$imize not only output4 but also the rate of labour absorption;
The inevitable conclusion from the foregoing is that in spite of the various
programmes implemented to date4 the incidence of poverty is still high and
unemployment problem remains daunting; 6nli:e in the past4 focus should not be
mainly on public wor: schemes and public sector agencies4 the level of corruption and
institutional wea:nesses in public agencies; olicy should shift to the promotion of
private sector labour intensive growth; The rural development approach should be
adopted; +ural development approach derives from the perspective that the ma=ority
of the poor in developing countries live in rural areas; The approach4 therefore4
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emphasizes the need to focus development effort in the sector; Though4 there are
variants to this approach4 the most prominent is perhaps the integrated rural
development variant; This variant recognizes that poverty is multi"dimensional and
therefore4 reuires multi"pronged approach; The approach see:s to develop all sectors
of the rural economy and lin: them up effectively; The components of the approach
include infrastructure development4 provision of social services and employment
generation opportunities to the rural dwellers in general and the rural poor in particular
(&igbo:han4 %888);
&chieving sustainable poverty reduction and broad"based economic growth
depends on enabling poor men and women to transform their livelihood; The poor
need to be given a chance to build their individual and collective s:ills and capabilities
in order to gain access to economic opportunities and basic social services and
infrastructure; Iac: of a virile entrepreneurial institution ma:es it difficult for the poor
to e$ploit opportunities within their communities and to
develop lin:s with e$ternal partners (-
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1%
(1BB1)4 management 3tevenson (1B,) and technology +oberts (1BB1) and Iitva: and
Maule (1BBB) cited in Tonge (%88%) have grappled with a diverse set of interpretations
and definitions to conceptualize the idea of entrepreneurship;
& further search of the literature also reveals that researchers have been
inconsistent in their definitions of entrepreneurship; There are minimum of a hundred
definitions to e$plain the concept of entrepreneur and entrepreneurship; Their
meanings depend on when they were devised and on the society in which the various
researchers developed them (Di"Masi4 1BBB);
-n the last century4 many writers have identified entrepreneurship with the
function of uncertainty and ris: bearing and others with the coordination of productive
resources4 the introduction of innovation and the provision of technical :now"how
0oselitz (1B,%) cited in (>urnet4 %888); During the si$teenth century4 people who
organized and managed military and e$ploration e$peditions in
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greater yield; 0e added to /antillon’s definition by including the idea that an
entrepreneur is one who brings other people together in order to build a single
productive organization; >ut 3ay’s definition4 according to Druc:er (1B,)4 does not
tell us who the entrepreneur is4 and since 3ay coined the term almost two hundred
years ago4 there has been lac: of consensus over the definition of entrepreneur and
entrepreneurship;
-n the 1Bth century4 >ritish economists such as &dam 3mith4 David +icardo
and Lohn3tuart defines the concept of entrepreneurship under the broad #nglish term
of business management (>urnett4 %888); 0owever4 3chumpeter (1B*5) argues that
whereas the writing of 3mith and +icardo suggests that they li:ely undervalued the
importance of entrepreneurship4 Mill actually stresses its significance for economic
development and growth; 0e further claims that entrepreneurship reuires Eno
ordinary s:illsF and laments the fact that there is no good #nglish language euivalent
word to encompass the specific meaning of the
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1*
activities including the process of identifying4 developing and bringing a vision to life;
This vision may be an innovative idea4 an opportunity or a better way of doing
something; The end result of this process is the creation of a new venture4 the
e$pansion of an e$isting one carried out under conditions of ris:s and considerable
uncertainty (Meyer et; al;4 1B5.);
&ccording to 67D (1BBB)4 entrepreneur is the process of using private
initiative to transform a business concept into a new venture or to grow and diversify
an e$isting venture or enterprise with high growth potential; There is a wide"spread
opinion that national or regional economic development is associated with new firm
creation intensity (enesaar and Ioomets4 %88.); 7ew firms formation is considered
as an important indicator of entrepreneurial activity and :ey component in economic
growth and development; #ntrepreneurs identify an innovation to seize an opportunity4
mobilize money and management s:ill4 and ta:e calculated ris:s to open mar:ets for
new products4 processes and services (0arper4 %88'); Ahile traditional theories are of
the opinion that entrepreneurs are born (innate principle which is stamped on the soul4
and the soul brings it into the world)4 modern development economics have argued
otherwise4 and have also emphasized the need for entrepreneurship development;
#ntrepreneurship development is the process of enhancing entrepreneurial s:ills and
:nowledge through structured training and institution"building programmes (67D4
1BBB);
#ntrepreneurship development aims to enlarge the base of entrepreneurs in
order to hasten the pace at which new ventures are created; There is the temptation of
confusing small and medium enterprise (3M#) development and entrepreneurship
development by policy ma:ers in 7igeria; #ntrepreneurship development focuses on
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1,
the individual who wishes to start or e$pand business; 3mall and medium enterprise
development4 on the other hand4 focuses on developing the enterprise4 whether or not
it employs or is led by individuals who can be considered as entrepreneurs (67D4
1BBB);
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topics related entrepreneurship have appeared;The study and teaching of
entrepreneurship and the role played by professors and other academicians dedicated
to teaching and research on this topic are of growing importance4 as reflected by the
boom in courses and chairships in entrepreneurship in 7igeria in the last few years;
&lso the introduction of #ntrepreneurship as a G3T course to all
%88 level students of 6niversity of Los has also contributed immensely to the
development of entrepreneurship in 7igeria;
2.2.2 THE RE$#E* OF M#ENN#UM DE$EOPMENT GOAS
During the last decade4 leading up to the 'rd millennium4 a number of 67
/onferences were held with the intention of laying down international Development
Targets (-DTs)4 which could help countries in fighting poverty; &t the Millennium
3ummit held in 3eptember %888 in 7ew 9or:4 representatives of 1B1 countries
adopted the Millennium Declaration; &mong the 1B1 representatives were 1*5 0eads
of 3tate or 0eads of Government including &frican 0eads of 3tate;
&ccording to 3achs and +eid (%88.)4 the Declaration focussed on concerns
arising from peace4 security and development issues and covered areas including
environment4 human rights and the sound management of public affairs; The
Declaration sought to integrate into one overall programme a variety of
complementary and mutually reinforcing development goals; These goals and the
development targets defined by the world conferences and summits of the 1BB8s are
related but in some respects different; +ecently4 the various categories of goals were
regrouped into the EMillennium Development GoalsF (MDG)4 which are!
#radicate e$treme poverty and hunger
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&chieve universal primary education
romote gender euality and empower women
+educe child mortality
-mprove maternal health
/ombat 0-2&-D34 malaria and other diseases
#nsure a sustainable environment
Develop a global partnership for development;
These eight goals are bro:en down into eighteen uantitative targets4 which should be
achieved within the twenty"five year period from 1BB8 to %81,; Monitoring of
progress towards the MDGs will be carried out at the global4 continental4 sub regional
and country levels;
&t the international level4 the 6nited 7ations 3ecretary General will report on
progress to the General &ssembly annually and will present a more detailed report
every five years; 0owever4 at the country level4 reports on the MDGs will help to
mobilise support from development partners for the achievement of the goals; The
6nited 7ations /ountry Teams under the guidance of +esident /o"coordinators are
reuired to support the Government in monitoring progress and in providing MDG
reports;
2.! #MPACT OF ENTREPRENEURSH#P ON N#GER#A ECONOM#C
GRO*TH
erception of &frican entrepreneurship among scholars and researchers seem
to differ considerably; &t one e$treme is the view that4 for one reason or the other4
technical entrepreneurial talent that involves the establishment and management of
manufacturing industries for productive activities in the real sector of the economy4 is
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lac:ing in &frica; &ccording to a Aorld >an: study carried out by 7ils"0enri: Morch
in 1BB,4 the poor growth performance of most sub"3aharan countries and4 in
particular4 the slow rate of industrialization could be ta:en to support such a dismal
perception; 0owever4 the study further proposed an alternative view that
entrepreneurial talent is indeed available but that the economic environment have been
such as not to allow this talent to develop;
3upporters of this view may point to the fact that the :ind of economic policies
that have been followed in many &frican countries in the two to three decades after
political independence have not always been conducive to private enterprise; This
position is consistent with a third view by &d=ebeng"&sem (1BB) that the &frican
entrepreneur is alive and well4 but that he or she4 rather than underta:ing
manufacturing businesses4 has been diverted to non"productive4 rent"see:ing activities
which researchers have referred to as commercial entrepreneurship; -n spite of this
critical gap in &frica’s development process4 researchers and scholars around the
world have long identified the role of entrepreneurs and entrepreneurship in the
economic development of nations;
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1B
brea:ing new grounds in human endeavour as a result of the vital characteristics or
attributes they possess;
6nfortunately4 after more than four decades of import substitution strategy4
structural ad=ustment programme (3&)4 commercialization and privatization of ailing
state"owned enterprises and general economic decline4 the manufacturing sector’s
contribution to the Gross Domestic roduct (GD) in 7igeria is still very small; -t is
plagued by low productivity and low"uality output; This is compounded by the
conseuent increase in competition from imports4 which has resulted in downsizing or
outright closure of many manufacturing industries; Therefore4 the e$tent to which the
restructuring of the private sector as the engine of growth of the economy will succeed
is dependent on the fostering and development of technical entrepreneurship among
the indigenous population;
-n addition4 theoretical and empirical investigations have emphasized the
crucial role that technological innovation and technical entrepreneurship play in
fostering economic development; These investigations are now seen as crucial and are
also recognized as important components of technology policy and economic
planning;
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%8
for accelerated economic growth and for not harnessing the abilities of their own
citizens for technological innovations and entrepreneurship;
/ritics also conclude that these developing countries depend on e$ogenous
technologies that are inappropriate for their environment; This has been responsible
for 7igeria’s e$ports which have largely been based on raw materials and semi"
manufactured goods with the petroleum sector asthe most important; Iess than ,N of
these e$ports are on the average attached to :nowledge intensive goods and services
(&d=ebeng"&sem4 1BB and &:eredolu"&le4 1B5,); The problems became acute in the
1B8’s and early 1BB8’s4 when 7igeria e$perienced stagnating industrial output and
decreasing crude oil prices while industrialization through the production of
indigenous technological development became central topics in the industrial policy
debates; &s a result of this4 6nited 7ations Development rogramme (67D4 %88')
and 6nited 7ations -ndustrial Development rganisation (67-D4 1BB*) argued that
if 7igeria is to =oin the league of industrialized economies4 industrial activities have to
converge and focus more on :nowledge based production particularly in the small
scale manufacturing and processing industries;
This view was partially enunciated in the various development plans4 national
budgets4 rolling plans and in the current reform programmes elaborated in the 7ational
#conomic #mpowerment and Development 3trategy (7##D3) (
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%1
enhancing greater opportunities per unit of capital invested and aiding the
development of local technology (3ule4 1B.4 7ils"0enri: and Morch4 1BB,);
-n 7igeria4small"scale businesses represent about B8N of the industrial sector
in terms of the number of enterprises; They also account for 58N of national industrial
employment if the threshold is set at 18 J ,8 employees4 contribute 18N of
manufacturing output and a meager 1N of gross domestic product (GD) in %881
(&=ayi4 %88%); 3imilarly4 they have also contributed significantly to economic
development through employment4 =ob creation and sustainable livelihood (7igerian
-nvestment romotion /ommission4 %88'); -n spite of their significance and
contribution of small industries to the national economy4 many problems and
constraints still e$ist in promoting their development and growth;
¬her obstacle to the modernization of small industries are the persistence of
a low level of technology4 the shortage and inadeuate entrepreneurial s:ills of
operators and the absence of an effective management techniues (67-D4 1BB*);
Their low product uality ma:es it difficult for them to compete in a technologically
driven4 :nowledge based and e$port oriented globalized economy; There is therefore
the need to tap the considerable +?D efforts that ta:e place at universities4
polytechnics4 monotechnics and other public and private sector research institutions
through increased commercialization or technology transfer of research results;
0owever4 this can only be achieved through a deliberate intervention strategy of
developing a core of characteristics among the small industry operatorsto enhance
production efficiency4 uality and output;
The failure of past efforts by small industry operators and the little intervention
by government necessitate the need to assess why indigenous technical innovations4
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management practices and other :ey success factors in business are often not
translated into feasible business ventures despite the fact that the country has the
technological need; These issues according to researchers such as &:eredolu"&le
(1B5,)4 &fon=a (1B.) and &d=ebeng"&sem (1BB) imply a lin: between technical
innovation4 entrepreneurship and a much broader level of technological development;
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%'
CHAPTER THREE
M#ENN#UM DE$EOPMENT GOA+ #N THE DE$EOPMENT OF
ENTREPRENEURSH#P #N N#GER#A
!.1 BACKGROUND TO ENTREPRENEURSH#P DE$EOPMENT #N
N#GER#A
#ntrepreneurship started when people produced more products than they
needed4 as such4 they had to e$change theses surpluses; y this way4 producers came to
realize that they can concentrate in their areas of production to produce more and then
e$change with what they needed;
3o through the e$change of products4 entrepreneurship started; & typical
7igerian entrepreneur is self made man who might be said to have strong will to
succeed he might engage the services of others li:e friends4 mates4 in"laws etc; to help
his wor: or production; Through this way4 7igerians in the olden days were engaged
in entrepreneurship; #arly entrepreneurship is characterized with production or
manufacturing in which case4 the producer most often started with a small capital4
most of it his own savings; #arly entrepreneurship started with trade by barter even
before the advent of any form of money;
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%*
Modern entrepreneurship in 7igeria started with the coming of the colonial
masters4 who brought in their wares and made 7igerians their middle men; -n this
way4 modern entrepreneurship was conceived; Most of the modern entrepreneurs were
engaged in retail trade or sole proprietorship;
ne of the ma=or factors that have in many ways discouraged this flow of
entrepreneurship development in 7igeria is the value system brought about by formal
education; ut with some
more people being educated and the fact that government could no longer employ
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most school leavers4 economic programmes to encourage individuals into private
business were initiated;
The eight Millennium Development Goals (MDGs)4 adopted in 3eptember
%8884 offer the Aorld a means to accelerate the pace of development and to measure
results; They put the Aorld (particularly the developing Aorld) on a timetable to
produce substantial improvements in the lives of the people within a %,"year period4
by loo:ing bac:ward to 1BB8 and ahead to %81,; The succeeding subsections analyze
these goals4 vis"O"vis 7igeria’s progress so far;
!.2 N#GER#A AND THE M#ENN#UM DE$EOPMENT GOAS
Goal 1, Eradicate Etreme !overty and unger
This goal has a double target of halving4 between 1BB8 and %81,4 the
proportion of people whose income is less than P1 per day and those who suffer from
hunger; Data on national poverty trends is as shown in Table ';1; &s can be observed4
the proportion of people living in poverty in 1B8 was %;1N4 which later rose to
*.;'N in 1B, but plummeted to *%;5N in 1BB% before rising to .,;.N in 1BB.;
0owever4 in %88*4 the incidence of poverty declined to ,*;*N; -n spite of this drop4 it
is evident that the actual population in poverty was maintaining an upward trend from
1;' million in 1B8 to over 58 million in %88*; Moreover4 the results of the people’s
self"assessment of their own poverty status indicated over 5,N poverty incidence
(7>34 %818); -n other words4 three out of every four 7igerians believe that they are
poor4 thus creating doubts on the observed poverty reduction;
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%.
TABE !.1 PO$ERTY PROF#E FOR N#GER#A -SEECTED YEARS/
Yea0 Poe0t eel -3/ E+timate
4 total
5o56latio
n
-million/
Po56lation in
-million/
Nationa
l
U07a
n
R60a
l
Male
hea4e4
ho6+ehol
4
Female
hea4e4
ho6+ehol
4
National U07an
1B8 %;1 15;% %;' %B;% %.;B ., 1;' 11;%
1B, *.;' '5; ,1;* *5;' ';. 5, '*;5 %;',
1BB% *%;5 '5;, *.;8 *';1 'B;B B1;, 'B;1 '*;'
1BB. .,;. ,;% .B; ..;* ,;, 18%;' .5;1 ,B;,
%88* ,*;* *';% .';' ,;% *';, 1%B;BQQ 58;5Q ,.;1
%81,
target
Q
%1;* 1; %' %1;. %8 15;.QQ ';%Q '';.
QQ Population estimates obtained from Annual Abstract of Statistics (2010)
So609e, 7ational >ureau of 3tatistics (2010). Poverty Profile for Nigeria
0owever4 using 1BB% as a reference point4 for this first goal to be achieved4
poverty levels are to be reduced to %1;*N4 1;N and %'N for the national4 urban and
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%5
rural areas respectively; The implication is that the current rate of reduction in poverty
is rather too slow to meet the targets set for %81,; -n other words4 if the current rate of
poverty reduction is maintained4 poverty incidence would reduce to 'B;8N as opposed
to %1;*N by %81,4 and about .B;5 million 7igerians would still be poor as against the
target of ';% million by %81,; Aith the current trend also4 the rural poor would be
about ,*N in %81, (B5 million) while the urban poor would amount to %%;.N (*8;'
million) in %81,4 which are all far from the desired targets;
Goal 2, #chieve $niversal !rimary Education
This goal has a single target of ensuring that by %81,4 children everywhere4
boys and girls ali:e should be able to complete a full course of primary schooling; The
trend in Gross #nrolment +atio (G#+)4 (the best available indictor that shows the
general level of participation in a given level of education)4 witnessed considerable
fluctuations over the last three and a half decades (1B58"%88,); -t shows a steady
increase from *';5N in 1B58 to 18;N in 1B84 and thereafter declined to B1;*N in
1BB8; -t rose from there to 11BN in %88% before declining to B,;BN in %88,; (3ee
Table ';%) This erratic movement in G#+ trend is not limited to the national enrolment
figures; -n terms of se$es4 it is observed that G#+ for males was consistently higher
than that of female by over %8N between 1B58 and %88% and by over 1.N between
%88* and %88,; This is probably due to early child marriage4 which forced most girls
out of school;
-t must be noted that4 in spite of the impressive trend and prospects of
reaching 188N in %81,4 the enrolment data as shown here4 may not always be
accurate owning to a multiplicity of factors; ne of such is the mista:en perception of
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%
some that enrolments are tied to funding and therefore should be inflated; This has
resulted in G#+ higher than 188N for some years;
TABE !.2 PR#MARY SCHOO GROSS ENROMENT RAT#OS -GER/
-1:(;
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%B
%88,; -n specific terms4 '45'B41%. million children aged ."11 years were un"enrolled
in %88*4 out of which 51N were females and %BN were males; >y %8854 it was
'4.,14''* million with the percentage of females and males still being 51N and %BN
respectively (
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'8
. ,
''#igures include preprimary enrolments.
P* + Pupils to eac,er *atio
-* + -ross nta!e *ate for Primary 1
-P + -ender Parity nde/ Na + not available
So609e+! 1. #ederal $inistry of %ducation (2010)
2 NS (2011). Annual Abstract of Statistics
' $D- *eport (2011);
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'1
poverty particularly in the rural areas is also a ma=or reason for pupil’s
withdrawal from schools when their poor parents could no longer bear the
costs;
Moreover4 various problems could still be identified; asic #ducation (6>#) rogramme4 limited educational awareness especially in the
rural areas4 growing incidence of child labour 2 street haw:ing in urban centers to
gross under funding of educational system in 7igeria; &ll these are capable of
frustrating the country’s effort of achieving this second goal by %81,;
Goal !, !romote %ender E&uality and Empower omen.
The target here is to eliminate gender disparity in primary and secondary
education4 preferably by %88,4 and in all levels of education before %81,; The issue of
gender euality and2or women empowerment constitutes one of the most discussed
topics in recent times; Aomen are grossly under"represented in many aspects of
human endevour;
Table ';* shows enrolment figures in secondary and primary education in
7igeria from %88. to %811 for males and females;
Ta7le !.% Se9on4a0 an4 P0ima0 S9hool En0olment -2;;'
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'%
#$ + #emale to $ale *atio (girls per 100 boys) calculated by t,e Aut,ors
So609e NS (2011) Social Statistics in Nigeria. Pp.1"20.
Table shows that at both levels of education4 primary and secondary4 enrolment
has been consistently higher for boys than for girls between %88. and %811; -n the
primary school4 the ratio of female to male was not above 8N " implying that there
are about 8 females to 188 males in primary school level; 7 (%811) indicated that the share of women in
tertiary education declined from *,N in %88. to *'N in %818; &ll these clearly show
that 7igeria was unable to meet the %88, preferred gender parity target in both
primary and secondary education;
Goal %, Re469e Chil4 Mo0talit
The aim of this goal is to reduce by two"thirds4 between 1BB8 and %81,4 the
under five"mortality rate; The progress of achieving this goal can be assessed using
three possible indicators4 namely4 the rate of infant mortality (per 1888 live births)4
under five"mortality rate and the proportion of one"year old fully immunized;
<hough there are wide variations in infant mortality and under five mortality
rates among various data sources4 all the available data revealed that the problems are
highly significant in 7igeria; Table ';, presents 7igeria’s infant mortality rates for the
period 1BB8 " %88.; -t shows the number of infants dying before reaching one year of
age per 1888 live births in a given year;
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''
TABE !.& #NFANT MORTA#TY RATE -PER 1;;; #$E B#RTHS/ #N
N#GER#A -1::&
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'*
Table ';, shows a steady but sluggish declining trend of infant mortality rate
from 11B;.N in 1BB8 to 18B;'N in %811; This shows a percentage reduction of ;.N
over the period; The percentage reduction over each successive period ranges between
8;'N and 1;N " a considerable slow rateR &mong the se$es4 the rate was consistently
higher for the males than for the females throughout the period of analysis; -f the %81,
target is to be achieved4 the country needs to reduce her infant mortality rate to 'B;BN
per 1888 live birth with female and male rates reducing to '1;5N and '*;1N per 1888
live births respectively;
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',
maintained between %881 and %88,; The country needs to reduce the ratio to about
'88 per 1884888 births by %81,
3ome probable factors responsible for the high maternal mortality rate in
7igeria include limited access to uality health care services4 inadeuate access to
emergency obstetric care4 poverty4 low literacy and uneven spread of antenatal and
postnatal health care services4 especially in rural areas; Table ,;1 presents some
selected maternal health statistics; -t shows that only ''N of the births were delivered
in a health facility while '5N had no antenatal care (&7/) before delivering; Ahen
compared to '*;N in 1BB8 and %B;5N in 1BBB4 it is obvious that the proportion of
mothers that do not receive &7/ is on the increase; (MDGs +eport4 %88,);
TABE !.' SEECTED MATERNA HEATH STAT#ST#CS #N N#GER#A
-2;11/
Se9to0+@Re=ion+ National U07an R60a
l
No0th
Cent0al
No0th
Ea+t
No0th
*e+t
So6th
Ea+t
So6th
So6th
N of women with
live births with 7o
&7/
'5 1, *. %, *5 ,B 1 15
N delivered in a
0ealth
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'.
So609e, NS (2011). Annual Abstract of Statistics
Ahen considering the sectorial and regional variations4 the following few
highlights could be made!
(i) The problem is worse in the rural areas than in the urban areas with *.N
without &7/ compared to 1,N in the urban; Ahile *,N urban women
delivered their children in a 0ealth facility4 only %*N of rural women could
do same; The percentage of births attended to by s:illed health personnel in
urban areas was ,BN while %.N was the case in areas;
(ii) The northern zones had the worst rates compared to the 3outhern zones;
The problem is more pronounced in the 7orth"Aest zone with only 18N
births delivered in a health facility4 while almost .8N had no &7/4 and
=ust 1%N of the births attended to by s:illed health personnel; The 3outh"
#ast had and impressive record of only 18N live births without &7/ and
more than 8N delivered in a health facility and assisted by trained health
personnel;
&ll these suggest that tremendous effort needs to be made to achieve the target4
which would involve an annual reduction of * deaths per 1884 888 live births from
%88,;
Goal ', Com7at H#$@Ai4+ Mala0ia an4 Othe0 Di+ea+e+
This goal is to halt by %81,4 and begin to reverse the spread of 0-2&-D34
malaria and other ma=or diseases; 3ince the identification of the first 0-2&-D3 case
in the mid 1B8’s4 the 0- prevalent rate has continually been on the increase from
1;N in 1BB1 to ,;N in %881; Thereafter it shows a downward trend to ,;8N in %88'
and *;*N in %88,; <hough this might suggest a decline in the percentage of 7igerian
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'5
population with 0-2&-D3 the rates4 if interpreted with respect to the 7igeria’s
population over the periods4 would be shoc:ing; f estimated population of 11;
million4 1%.;% million and 1'';, million for the years %8814 %88' and %88,
respectively14 .;* million adult 7igerians lived with 0-2&-D3 in %8814 .;' million in
%88' and ,;B million in %88,; ;Aorld >an: (%885!18B) reported an increase in the
proportion of 7igeria’s population (aged 1, J *B) infected with 0- from ';5N in
%88' to ';BN in %88,; f this4 female accounted for ,;'N in %88' and .1;,N in
%88,; -n %8814 about 1584888 adults and children died of &-D3 and by %88.4
cumulative deaths from &-D3 were between ';. million and *;% million people (
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'
%88,4 the ratio of doctor to patients stood at 1!'15' (/>74 %88,); This affects the
implementation of the &-D3 program and health care in general;
The second target is to halt and begin to reverse the incidence of malaria and
other ma=or diseases by %81,; Table .;% shows that there is a noticeable reduction in
the prevalence of malaria and other ma=or diseases in 7igeria between 1BBB and
%88*; This seems to suggest that the country is ma:ing steady progress on the road to
achieving the millennium target; 0owever4 it is doubtful if the above data truly reflects
the real picture in the country; burden counties in the world with an estimated '.'4888 of all forms
and 1,.4888 smear positive (in=ections) cases of T> occurring annually J culminating
in 18,4888 deaths annually; This suggests that T> is a ma=or public health problem in
7igeria;
TABE !.', PRE$AENT RATES OF MAAR#A AND OTHER NOT#F#ABE
D#SEASES #N N#GER#A -PER 1;;;;;/. - 2;;%/
D#SEASES@YEAR
S
2;;& 2;;' 2;;( 2;;) 2;;: 2;1; 3C
7et
an4
Malaria 15.5;B
*
%8%';
1,;5
%%8%;B
,
15%.;B
B
11,5;
,
Measles 1B*;BB B%;* 1*8;5' 51;* B';51 '.;*1
Tuberculosis
(T>)
1.;B% 1,;5* 1%;81 1%;,5 %1;5, 5;85
/holera %;8% ,;' ;.1 1B;8, %;8, 1;8.
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'B
Typhoid and
paratyphoid fever
,1;%* ..;,* %8;8, *;., .1;*' '8;1*
'3alculated by t,e Aut,ors
Source( NP3 (2011) %conomic Performance *evie5
&ccording to 7>3 (%811)4 at least ,8N of the population is estimated to suffer
from one or more episodes of malaria per year;
Goal (, Ensure Environmental Sustainability
This seventh goal aims at three important targets; These are integrating the
principles of sustainable development into countries’ policies and programmes and
thus reverse the loss of environmental resources halving4 by %81,4 the proportion of
people without sustainable access to safe drin:ing water and achieving4 by %8%84 a
significant improvement in the lives of at least 188 million slum dwellers;
&chievements relating to environmental protection and resource management
in 7igeria have been rather limited; 3ustainable development is threatened by a
plethora of environmental problems including land degradation4 pollution4 flood and
erosion4 desertification4 inefficient use of energy resources4 deforestation4 etc; Table
';5 shows that only a small portion of land (18N) was covered by forest between %88,
and %8184 while annual deforestation was *884888 ha which is over '8 times higher
than the rate of reforestation 418*'ha4(/>74%811);
TABE !.(, SEECTED EN$#RONMENTA #ND#CATORS -2;;' 2;11/
#ND#CATORS 2;;' 2;;( 2;;) 2;;: 2;1;
Total
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*8
(3; :m) 1 1 1 1
rotected &rea as N of Total
Iand area
18 18 18 18 18
Deforestation per year
(ha2yr)
*884888 *884888 *884888 *884888 *884888
+eforestation per year
(ha2yr)
18*' 18*' 18*' 18*' 18*'
So609e, 3N Annual *eport and Statement of Accounts4 December 2011.P.160.
&part from the high rate of deforestation4 other factors with considerable
environmental conseuences include freuent oil spillage especially in the 7iger Delta
(the most recent one occurring unabated at -:ot &da 6do village in &:wa -bom 3tate)
as well as persistent gas flaring; Gas flaring level4 which was above 58N of the total
gas produced from 1BB8 to 1BB54 declined to *N in %88,4 rising thereafter to 5*N in
%885; -n %88B4 ',N of gas produced flared4 while *8N flared in %818 (3ee Table';5);
This is against the %,N level set by the
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*1
1BB ''***;. 5,'.;% %,B8;* %' 55
1BBB '%5B' .,55 %.%1. %8 8
%888 '%B8 .B18 %.858 %1 5B
%881 '.B58 181,8 %.%8 %5 5'
%88% '.5,*; 18%85 %.,*5; % 5%
%88' '.8'.;. 18.;, %,1,8;1 '8 58%88* ',,.;* 1%..*;. %'1B1; ', .,
%88, *5,'5 %1B*, %,,B% *. ,*
%88. ,5,'8 %B.'B;5 %5B8;' ,% *
%885 181B5. %.%8';* 5,55%;1 %. 5*
%88 ,''5B '8,' %%5B. ,5 *'
%88B .B5* *,1,. %*,B% ., ',
%818 ,%*5 '*1 %'*%B .8 *8
%811 ,545,';5 'B4'5*; 1'5;B .;% '1;%
%81% ,545,';5 'B4'5*; 14'5;B .;% '1;%
'3alculated by t,e Aut,ors
So609e 3N Statistical ulletin4 2012.
The trend in /o% emissions increased from %%,,,;. million metric tones in
%88, to '.1*B;8% million metric tons in %818 and maintained the trend up to %81%
(&D>4%81%);-n addition4 /o% emissions resulting from domestic use of fossil fuels
remains an important source of air pollution and climatic changes in the country; -t
accounts for the largest share of green house gases4 which is associated with global
warming; Due to the erratic supply of electricity in 7igeria4 there is widespread
operation of a wide range of power generating euipments4 which e$acerbate the
environmental conseuences of /o% emissions; /onseuently4 per capita /o% emission
increased from %8N in 1BB, to a constant rate of %N between %88, and %818; This
indicates a decline in environmental protection activities and awareness over the
period;
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*%
The proportion of the population with access to improved water source
fluctuates between *8N and *BN between 1BB, and %888; >y %8884 it rose to ,5N4
and thereafter declined to *N in %88B; &ccess to safe drin:ing water in the urban
area declined from 5N in 1BB, to .'N in 1BB,4 rising from there to *N in %88,;
4 %81% AD-4 %885 MDG+4 %811);
Goal ), Deelo5 a Glo7al Pa0tne0+hi5 >o0 Deelo5ment
This goal aims at developing partnership between developed and develo
countries through fficial Development &ssistance (D&)4 debt relief4 mar:et ac
information and communication technology4 as well as developing strategies for y
employment; resently4 the level of 7igeria’s e$ternal indebtedness has been drasti
reduced after e$iting from the costly debt burden of the aris clubs in %88.; This m
brea: through in 7igeria’s uest for debt relief involved an agreement reached with
club4 which saw it gaining 63P 1 billion in debt cancellation (about .8N of the
amount owed the club) at the price of 63 P 1%;* billion repayments; &t present4 7ige
e$ternal debt is about 63 P*; billion as against 63 P '';% billion in 1BB, (3ee Table
&ll these4 probably4 can enhance the country’s prospects of meeting the MDGs; -n the s
vein4 #$ternal debt as a proportion of e$ports of goods and services declined from .,;
in %88B to ,'N in %818 (MDG +eport4 %818 Aorld >an:4 %811); The proportio
e$ternal debt to GD dropped from ,B;%N in %88B to '*N in %818; Debt service payme
a proportion of GD declined from 1'N in 1BB, to %;.N in %885 (Aorld >an:4 %88
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*'
depicting an increasing difficulty and inability to fulfill debt obligations during t
periods; 0owever4 with increased commitment thereafter4 the ratio rose to 18;%N in %
(Aorld >an:4 %885); #$ternal Debt service as a proportion of e$ports showed a decr
from %%;.N in 1BB, to 18;%N in %811;
TABE !.: N#GER#AS ETERNA DEBT PROF#E -US M##ON/ -1
2;11/
Yea0 Total M6ltilate0al Pa0i+ Cl67 on4on Cl67 P0omi++o0 Note+ Othe0
1::& ''15B;8 '*,;1 1515%;1 ,B'.; *,,8;8 1.5,;8
1::' '''.*;, '.,8;8 155B%; ,B;, **5;B 1*,*;
1::( %5,**;1 ,1;8 1.*'';B %1%8;8 '%*.;8 1%%.;%
1::) %51;% '.B*;5 11.8;, %8,,; '1,B;B 1.*5;
1::: %B*%;B **8%;' 1''*;' %8,5; '15;% 1*,.;
2;;; '%,*; **11;8 %1..B;. %8*,;8 '1*;8 1'11;%2;;1 %8.8;8 *..,;8 1B8B1;8 %8*';8 %1*8;8 1%1;8
2;;2 %585; *'5%;5 1B8;* 1.1%;, 1.1%;, 5B;%
2;;! %55';, *%'5;8 %8%B;B %8*';8 1,B5; .,;
2;;% %8..;B 'B'';' %8,'*;' %8*';% 1*.; .B;'
2;;& %%5';5 '*.8;8 %118;8 %8*';% 1**.;5 1*%;
2;;' %'*5;8 %5B5;B %%8B%;B %8*';% 1%B1; 1%1;%
2;;( '8BB8;8 %B,B;B %*8B%;B 1**1; 11,';% ,,;.
2;;) ',B%8;8 '8*8;8 %5*58;8 1**8;8 B18 ,8
2;;: ',B,8;8 %%8;8 '8,8;8 1**8;8 58 ,8
2;1; '5,88;8 %%8;8 '1888;8 1**8;8 58 ,82;11 **5;8 %588;8 " 1**8;8 .88 188
So609e, ,e 3N Debt $anagement 7ffice cited in OIeIe -2;11) E %conomy unfol
layers of *eforms8.
>esides4 the 7et fficial Development &ssistant (D&) to 7igeria has remar:
improved from 63 P 15* million to 63 P .*'5 between %88, and %818; (Aorld >
%811!'*B); The ratio of aid to gross capital formation (G/
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**
%88, to '1;%N in %818 while a total of 63 P ,B..;' million was also received from
ma=or Development &ssistant /ommittee donors in %811;
-n spite of these developments4 the problem of mar:et access for product
developing countries4 including 7igeria4 persists; #vidence from Aorld >an: (%
showed that the share of &frican regional trade bloc in total Aorld e$port4 inclu
#/A&3 where 7igeria belongs is not up to 1N; &n increasing share of 7igeria’s e$
goes to sub"3aharan &frican countries due to the unfavourable e$ternal mar:ets in
industrialized countries;
0owever4 there is a considerable cooperation with private sector in the provisio
information and communication technology (-/T) in 7igeria; Teledensity (telephone l
per 1888 persons) rose steadily from 8;*,N in %88' to 1,;5%N in %818 (Table
3imilarly4 total number of telephone lines as well as number of mobile phone lines
witnessed an impressive trend over the period; This significant increase is due to
deregulation of the telecommunication sector and the subseuent introduction of the Gl
3ystem of Mobil /ommunication (G3M) in %88.;
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*,
!.! ENTREPRENEURSH#P DE$EOPMENT AND M#ENN#UM
DE$EOPMENT GOAS #N N#GER#A
3cholars have documented enormous evidence which points to the fact that
e$treme poverty is predominant in rural areas (-
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*.
second4 the public service that reach the poor4 third4 the flow of goods and services to
meet the needs of all members of households4 and fourth4 the participation of the poor
in ways in which their needs are met (Iadgerwood4 %888);
The targeting approach reuires the directing of poverty alleviation
programmes to specific groups within the country; /omponents of the approach
include micro"credit4 school meal4 medical care4 safety nets4 and public wor:s
programmes; The approach reuires proper identification of the target group for
effective targeting; The employment Joriented target emphasizes employment
promotion as the principal means of spreading the benefits of economic development
more evenly throughout the economy; The pace growth ob=ective was modified so as
to ma$imize not only output4 but also the rate of labour absorption;
&chieving sustainable poverty reduction and broad"based economic growth
depends on enabling poor men and women to transform their livelihood; The poor
need to be given a chance to build their individual and collective s:ills and capabilities
in order to gain access to economic opportunities and basic social services and
infrastructure; Iac: of a virile entrepreneurial institution ma:es it difficult for the poor
to e$ploit opportunities within their communities and to develop lin:s with e$ternal
partners (-
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*5
&ccording to 67D (1BBB)4 entrepreneur is the process of using private
initiative to transform a business concept into a new venture or to grow and diversify
an e$isting venture or enterprise with high growth potential; There is a wide"spread
opinion that national or regional economic development is associated with new firm
creation intensity (enesaar and Ioomets4 %88.); 7ew firms formation is considered
as an important indicator of entrepreneurial activity and :ey component in economic
growth and development; #ntrepreneurs identify an innovation to seize an opportunity4
mobilize money and management s:ill4 and ta:e calculated ris:s to open mar:ets for
new products4 processes and services (0arper4 %88');
!.% PROBEMS OF ENTREPRENEURSH#P DE$EOPMENT #N N#GER#A
The :ey roles of entrepreneurship include mobilization of domestic savings for
investment4 significant contribution to Gross Domestic roduct (GD) and Gross
7ational -ncome (G7-)4 harnessing of local raw materials4 employment creation4
poverty reduction and alleviation4 enhancement in standard of living4 increase in per
capital income4 s:ills acuisition4 advancement in technology4 e$pert growth and
diversification; -rrespective of the benefits associated with entrepreneurship4 there are
lots of barriers that have prevented youths from fully realizing their potentials and
assuming responsibilities in the society;
!.%.1 A7+en9e o> #n>0a+t069t60al Fa9ilitie+
-t is a universal belief that certain basic infrastructural facilities aid the
development of the mind and body and assist productivity in any environment; These
facilities have been identified as good roads4 good water supply4 constant power4
access to information and communication technology and other tools of trade; & case
where these are lac:ing in a country4 the growth of the economy will be adversely
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*
affected; -n 7igeria4 these basic wor: tools as well as the enabling environment is
lac:ing; This state of affairs has frustrated a lot of young people with bright ideas and
the corresponding spirit to effect a change in some areas of our national life;
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*B
availability of capital4 says nwubi:o (%811) is central to the establishment and
continued e$istence of any enterprise irrespective of the size4 focus and ob=ective; -t
has been observed that for an entrepreneur in 7igeria to start a business4 he must have
adeuate funds; -n a situation where the wor:ing capital is inadeuate or unavailable4
it becomes a problem; This is one of the ma=or4 if not the ma=or problem that young
people encounter when opening a business; >an:s are before now reluctant to give out
loans to intending entrepreneurs especially when they are young people; The
procedures for accessing such credits are often rigorous and dependent on the
provision of collaterals which the potential entrepreneur 7:echi et al; (1BB5) may not
possess;
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events around and about him4 education becomes a critical factor in preparing and
empowering the entrepreneur with the ualities reuired of him;
6nfortunately4 the role of education in forming young people to become
change agents it seems4 have been ignored; 9ear after year4 the uality of education in
the 7igerian institutions has gradually been on the decline4 due to mass e$odus over
the years by ualified teachers; Those stuc: in the system are there due to
unavailability of alternative =obs; Government policy or lac: of one has been a ma=or
bane of education in 7igeria; The schools are not adeuately funded4 euipped4
regulated and managed to bring out their optimum potentials; Most times students are
home due to stri:es; Most people in government send their ward abroad for their
education thereby preventing the will to address the urgent need for the sector; The
result is a half"ba:ed wor:force who are lac:ing in personal confidence and desire to
loo: within and ma:e a mar: in an area of human endeavour;
!.%.% a9I o> A4eJ6ate T0ainin=
& regrettable conseuence of the immediate foregoing is the absence of
adeuate training for students such as will 1BB4 enable them meet the challenges of
the future as leaders of business and change agents; -t has been observed that the
educational curriculum in 7igeria focuses more on the theoretical without a
corresponding practical approach; Most employers are always compelled to retrain
their employees due to lac: of :nowledge of basic wor: ideas or familiarity with the
area of study of the employee;
Technology has been used to improve the uality of life through the use of the
computers and other technological discoveries such as the internet; Ahere the youth
does not have the :nowledge or s:ill of the latest technology4 it affects their outloo: to
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life; -t is surprising that in this age and time when the computer and the internet are
ta:en for granted in so many parts of the world4 the reverse is the case in 7igeria;
#$cept for the cities4 the internet and other -/T are not available in the rural areas
where ma=ority of the 7igerian youth are located; This situation denies these people an
alternative means of s:ill acuisition4 information gathering and other advantages
associated with the Aorld Aide Aeb; This has resulted in a situation where employers
prefer to ta:e people with on"the" =ob e$perience and reuired s:ills thereby ma:ing it
impossible for the young person’s to gather the much needed e$perience4 s:ill4
familiarity with
a wor: environment and basic contacts and networ: to pioneer a successful enterprise
of a business or non business nature; Ahere some of these basic trainings are offered4
they are usually directed at the employees of big businesses considering the e$orbitant
fees charged by the institutions or bodies providing same; Aith little or no money to
spare4 young people often miss these opportunities to euip themselves mentally and
otherwise for the assumption of entrepreneurial roles; This also results in low morale4
inefficiency and lac: of confidence;
!.%.& Othe0 E9onomi9 So9ial an4 Politi9al Fa9to0
&side from the factors listed above4 there are other ma=or dynamics which play a
role in stifling the dreams and aspirations of the youth towards assuming
entrepreneurship positions; #conomic factors such as policy reversals4 high and
double ta$ations4 difficulty in procuring business approvals4 high inflation and
unstable e$change rates are some of the areas of concern for the potential entrepreneur
who is in most cases a greenhorn; The cost and procedure for establishing a company
is rather prohibitive as the intending entrepreneur must engage a solicitor and
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accountant to ta:e care of the legal and financial aspects; olitically4 some of
government’s policies it seems are made to favour friends and associates; #ven when
it comes to award of contracts and other government patronages4 cronyism is the
word; This creates a situation of uneven advantage to certain people while others are
meant to loo: li:e mediocre irrespective of pedigree4 ability and e$pertise;
ne cannot complete this without mentioning the social malaise of systemic
corruption which dissuades most people from venturing into enterprises; -t seems most
times that whatever one needs to do must be coupled with some :ind of favour to the
person or authority granting the approval; This situation is almost frustrating and has
:ept many away from entrepreneurship with many youth preferring to be engaged in
paid employments where they will be certain of pic:ing their pay pac:ages at the end
of every month without the worries associated with running a business (nwubi:o4
%811);
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CHAPTER FOUR
DATA PRESENTAT#ON AND ANAYS#S
-n the previous chapters4 Millennium Development Goals (MDGs) and
entrepreneurship development was discussed theoretically; This was to elucidate the
need for the diversification of the 7igerian economy into the diverse sector and sub"
sectors of entrepreneurship4 to achieve growth and development in %81,; This chapter
will e$amine the impact of MDGs on entrepreneurship development empirically4 to
achieve this the study employed multiple regressions analysis to e$plain the changes
in the dependent variable resulted from the change in the independent variables; The
dependent variable for this study is #ntrepreneurship -nde$ (#-) while the independent
variables are overty +ate (+)4 rimary 3chool enrolment (3#) and #$ternal
Debt (#D) used as a pro$y for MDGs documentation policy considering Goal 1
(#radication of #$treme overty and 0unger)4 Goal % (&chieve 6niversal rimary
#ducation) and Goal (Develop Global artnership for Development) respectively;
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%.1 DATA PRESENTAT#ON
The data used for the empirical analysis covers the study period of (1BB1 " %811)
which were collected from secondary sources; The table below shows the data used
for the analysis of the study;
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,,
Ta7le %.1, Shoin= Ent0e50ene60+hi5 #n4e? Poe0t Rate P0ima0 S9hool
En0olment Rate an4 E?te0nal De7t >0om 1::1 to 2;11 in Ni=e0ia
9ear #ntrepreneurship
-nde$ (N)
-E#/ Y
overty +ate (N)
-P$R/ 1
rimary 3chool
#nrolment (N)
-PSE/ 2
#$ternal D
(N)
ED
1BB1 B;%1 ,*;* *8;' *%;1
1BB% B;B ',;% *% ';1
1BB' 18;. 'B;* ';1 '5;%
1BB* 18;' *%;8 '5;% '8;*
1BB, 11;** ,*;' '8;* %B;%B
1BB. 1%;5 .8;* %B;%B '%;*.
1BB5 1%;% 5%;1 '%;*. '8;*
1BB 1';, 5.; '8;* '%;*
1BBB 1*;.5 .5;. '%;* '*;.
%888 1,;'% .1;. '*;. '.;1
%881 1B;, .'; '.;1 *%;8
%88% %1;B1 .,;5 *%;5 ,*;B
%88' %;.* .';* ,*;B ,.;,
%88* %5;% ..;B ,.;, ,,;5
%88, %';1* .8;% ,,;5 ,*;
%88. %';,5 .5;1 ,*; ,';'8
%885 %B;5 ,;, ,';' ,';'
%88 %B;55 ,*;* ,';' ,';*
%88B '1;. ,*;* ,';* ,;B%
%818 %;1 ,%;. ,,;1* ,.;'
%811 '%;5* ,8;8 ,;B% ,,;%
So609e, 1; 3entral ban! of Nigeria (3N) statistical bulletin 9ol. 1:4 2011
). National ureau of Statistics (2011)
%.2 MODE SPEC#F#CAT#ON
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The rdinary Ieast 3uare (I3) method is used for the estimation of the
parameters in the model to show the relationship between the independent variables
and the dependent variable; The model is given as
#- U f(+4 3#4 #D) given as
9tU L V L1 P9*1t V L% PS% %t V L! %;D't < t
9tU LV L11tV L% %t V L''t t
The parameters to be estimated are L4 L14 L% and L';
Ahere
9tU #- U #ntrepreneurship -nde$
1tU + U overty +ate (Goal 1)
%tU 3# U rimary 3chool #nrolment (Goal %)
'tU #D U #$ternal Debt (Goal )
t e00o0 te0m
%.! MODE EST#MAT#ON
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LV L 11tV L%%tV L''t t4 the parameters to be estimated are L4 L14 L% and L'; Ae
compute this using a statistical software program :nown as #"views;
Yt
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,
used in determining the e$planatory power of +4 3# and #D on #- using the
rdinary Ieast 3uare (I3) method (Ku=arati4 %88,);
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,B
H5othe+i+
Ho! parameters U 8 (L; L1 L% and L!/
H1! parameters X 8 (L; L1 L% and L!/
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H1, parameters X 8 (L; L1 L% and L!/
The relationship for computing T"test is given by
TQU Lo2s(Lo) U "8;..
TQU L12s(L1) U "1;85.
TQU L%2s(L%) U ;'5
TQU L%2s(L %) U ,;,.
tZ2% (t8;8,2%) with the degree of freedom Ae compare our calculated t(tQ) with the
theoretical t (t8;8,) at ,N level of significance for two tailed;
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.1
1 U*"1U'4 and % U %1"* U 154 therefore4 from our statistical table (' and 15) U *;*B
08! [8 U [1U [% U [' U8
01! [8 X [1X [% X ['X 8
De9i+ion 90ite0ia
-f
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.%
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.'
The coefficient of ' is also positive (8;5.) this shows a direct relationship
between the entrepreneurship inde$ and the e$ternal debt4 which is also the th goal of
the MDGs4 Therefore4 a unit increase in e$ternal debt owned4 will increase the growth
in entrepreneurship development;
The coefficient of multiple determinations + % is used to test the e$planatory
power of the independent variables on the dependent variable; The + % obtained from
the regression result is 8;B1 or B1N; This implies that B1N of the total variation in the
e$plained (dependent variable) is determined by the e$planatory (independent
variables); Ahile the remaining BN is due to error term4 i;e; other factors outside the
model; 0ence we can conclude that there e$ists a very strong positive relationship
between the dependent variable entrepreneurship growth inde$ and the independent
variables;
The standard error estimates enable us to decide whether or not the estimates
of Lo4 L1 L% and L! are significantly different from zero;
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3ince the TQ \ T8;8,4 for Z% and Z'4 Therefore Z% and Z' are statistically
insignificant;
The F
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poverty incidence was *8;1 per cent compared with rural poverty incidence of .8;. per
cent;
7igeria was one of the richest fifty countries in the early 1B58s; 3he has
retrogressed to become one of the poorest countries at the threshold of the twenty first
century (-gbuzor4 %885); Despite the abundant natural resources in the country4
statistics show that the incidence of poverty using the rate of 63 P1 per day increased
from %;1 per cent in 1B8 to *.;' per cent in 1B, and declined to *%;5 per cent in
1BB%4 but increased again to .,;. per cent in 1BB. and stood at,5;* per cent in %88*
(7ational >ureau of 3tatistics %88,); The rural dwellers constitute .8;. percent of the
7igerian population; The country fares poorly in all development indices; The average
annual percentage of growth of GD from 1BB8"%888 was %;*; This is very poor when
compared to Ghana (*;') and #gypt (*;.); 7igeria is also one of the twenty countries
in the Aorld with the widest gap between the rich and the poor (-gbuzor4 %885); & Gini
inde$ of zero represents the perfect euality and 7igeria has the highest Gini inde$ in
the world; The Gini inde$ for 7igeria is (,8;.)4 as against -ndia ('5;)4 Lamaica ('5;B)4
Mauritania ('5;') and +wanda (%;B) in %88* (0uman Development +eport4 %885);
0owever4 the Millennium Development Goals (MDGs) are set of
developmental target aimed at effecting measurable improvement in the life of the
world’s poorest countries li:e 7igeria; There are basically () goals namely!
Goal"1! #radicate e$treme poverty and hunger
Goal"%! &chieve universal primary education
Goal"'! romote gender euality and empower women
Goal"*! +educe child mortality
Goal",! -mprove maternal health
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Goal".! /ombat 0-2&-D34 malaria and other diseases
Goal"5! #nsure environmental sustainability
Goal"! Develop a global partnership for development
-n line with 7igeria commitment to the MDGs4 the federal government has
ta:en concrete steps to integrate these goals into its policy planning and
implementation framewor:;
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This research so far has e$amined MDGs documents policy and
entrepreneurship development in 7igeria; -t too: a close loo: on the role MDGs
documents in empowering entrepreneurship and as well as it contribution social
economic development and growth of the country; The study revealed that
entrepreneurship has a great potential in alleviating poverty in 7igeria and it has been
the ma=or source of advancement to many advanced nations and has contributed
significantly to the Gross Domestic roduct of these countries4 the need for MDGs
documents becomes necessary; -n 7igeria4 it is regarded as a priority aspect owing to
it potentials to provide sustainable development4 and increase economic growth rate;
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Ade=uate #unding and -reater Private Sector nvolvement
ne of the causes for the present poor condition of 7igeria’s infrastructure is lac:
of investment in new capacity4 new technologies4 and maintenance; -t is important that
the Government commits to a long"term and consistent funding of the costs of
improving and maintaining the various infrastructures; roviding new sources of
funding for power4 transport4 water and sanitation from other sources will reduce the
demands on the budget; The Government and /entral >an: should also ta:e steps to
increase the depth and liuidity of 7igeria’s capital mar:ets in order to facilitate the
ability of the private sector to raise finance for investment in infrastructure; The failure
of e$isting public enterprises to manage public facilities and services is well
appreciated; Government should deregulate more in the power4 road infrastructure4
and oil and gas industry and intervene more where the private sectors are dominant
but not doing well such as in the public transport sector; Greater involvement by the
private sector in managing operating the power sector through ublic rivate
artnership () will help to address some of the evident failings of current
provision; The public sector will retain a planning and supervisory role of the new
forms of contract4 and new bodies such as the -nfrastructure /oncession +egulatory
/ommission will assist with effective implementation of the Government’s policy; The >ureau of ublic #nterprises is doing well in managing the privatization
agenda of the government at the federal level; This should be replicated at the state
and local government levels for efficiency and productivity in critical sectors;
-reater ransparency and -ood -overnance
The country needs to be more transparent in her way of doing business; There
should be regular monitoring and audit of government’s progress in implementing the
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.B
vision in all sectors and investing more on infrastructure in the critical sector of the
economy in order to ensure that public money is being well spent and that the public
are paying a fair price for the services that are being provided; Ministries and other
public bodies should be held accountable for their performance against the ob=ectives
of the %8!%8!%8 ision; &t the moment4 many ministries4 departments and agencies
(MD&s) in the country have not audited their accounts for years and this is not good
enough for a nation that aspires to be among the top %8 nations in the ne$t nine years;
Good governance and proper devolution of power to the grassroots must be enshrined
in the day to day business of the government; The people should also have a voice in
the way they are governed especially in the area of infrastructural development; The
recently passed freedom of information bill is a welcome development; &ccording to
most accounts the government of 7igeria is inefficient and corrupt;
Population 3ontrol
+apid growth of population in a developing nation li:e 7igeria is inevitable;
0owever4 the growth can be planned and sustained to achieve economic growth; loom4 /anning and
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7orth &merica and parts of 3outh &merica4 where family planning has been adopted
for population control4 the healthy balance between populations and resource stoc: is
a ma=or factor in their enviable standards of living and impressive economic
performances; /hina4 for its part4 with a population growth rate of 8;*B'4 has moved
rapidly into healthier development trends than countries such as -ndia and 7igeria4
where little is done on population control;
-t is either 7igeria deliberately controls her population or nature does it; &lready4
about ,, per cent of the 7igerian population lives on less than P1 per day4 this is one
of the highest poverty rates in sub"3aharan &frica; &t the level of government4 its
responsibilities centre on the provision of uality education to enhance uality human
capital4 uality health care and basic infrastructure;
&.! CONCUS#ON
The ma=or finding of the research wor: shows the impact of MDGs on
entrepreneurship development; The results of the paper are consistent with similar
results in both the developing and developed nations; The study has established that
investments in infrastructure both directly and indirectly significantly affect economic
growth in 7igeria; The research also shows a bi"directional relationship between the
variables; The output of the MDGs document policy is also considered as an important
determinant of output of other sectors with forward and bac:ward lin:ages in the
economy; The research paper further reports on the inter"sectoral lin:age effects of
MDGs and entrepreneurship in the economy;
The results of the study further shows that the current global economic
meltdown poses real threats to the 7igerian economy4 and places tremendous pressure
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on the achievement of the Millennium Development Goals; The sharp fall in the price
of oil4 and other fallouts of the global economic crisis4 have adversely affected4 and
would continue to affect4 all sectors of the economy4 at least in the medium run; oor
policy option (such as resorting to the -Man: loan) amidst this crisis may
throw the economy deeper into the avalanche of the crisis; The millennium
Development Goals4 which surfaced in %8884 are not new to 7igeria’s development
agenda; >efore %8884 all the eight goals now referred to as the MDG34 have been part
of the country’s development goals; 7igeria should first thin: of providing the
necessary infrastructure" good roads4 steady power supply4 good learning
environment(from primary to university level)4 well euipped hospitals4 and a
transparent and committed leadership4 etc; and reducing corruption4 then the MDG3
will be the upshot4 for without which achievement of the MDG 34 even after %81, will
remain a mirage;
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